Cabinet approves ₹9,585-crore scheme to replace old trucks and buses in Delhi-NCR

Key facts

• The scheme will be implemented in coordination with the governments of Delhi, Haryana, Rajasthan and Uttar Pradesh to replace older trucks and buses in Delhi-NCR with BS-VI-compliant or electric vehicles, with a provision that in Delhi, light goods vehicles must be electric and buses must be BS-VI CNG or electric.
• The total outlay is ₹9,585 crore, comprising ₹5,041 crore from the central government and an estimated ₹1,601 crore in tax concessions from participating states.
• It targets approximately 2.07 lakh vehicle owners, including 1.91 lakh trucks and 16,329 buses.
• Owners of BS-III and older vehicles must scrap them at registered vehicle scrapping facilities, while BS-IV vehicles may be scrapped or sold outside NCR in non-NCAP cities.
• State governments will waive registration fees, offer up to 100% motor vehicle tax concessions on new vehicles, 50% concessions on used vehicles for 10 years, and waive pending liabilities, while central incentives include a 5% interest subvention, monthly fuel vouchers up to ₹4,800, lump-sum incentives, and manufacturers will extend 8% discount.